Demonstrations have been held during the event every year since 2011 by opponents of the ruling Al-Khalifa dynasty in an attempt to highlight the reform demands.
The influential Shiite opposition bloc Al-Wefaq had called for a rally today on the main Budaya highway, four kilometres west of Manama, which links several Shiite villages.
Al-Wefaq leader Sheikh Ali Salman had urged supporters to protest "peacefully... And exploit the presence of (foreign) media attending the F1... So the world could hear the voice of the opposition and its demands and the oppression we suffer from in our country".
Clashes frequently erupt on the outskirts of Manama between security forces and protesters from the Shiite majority demanding that the Khalifas surrender their grip on all key cabinet posts in favour of an elected government.
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Yesterday, police had deployed along a main road linking Manama to the Sakhir F1 circuit in the south, as more checkpoints were set up on roads leading to Shiite villages.
Following today's demonstration, Al-Wefaq issued a statement saying the security presence would simply "reinforce the people's determination to demand more democracy".
Bahrain, home to the US Navy's Fifth Fleet, remains deeply divided three years after a Shiite-led uprising was quashed, with persistent protests sparking clashes with police, scores of Shiites jailed on "terror" charges and reconciliation talks deadlocked.
The International Federation for Human Rights says at least 89 people have been killed in Bahrain since the uprising broke out in February 2011.